A total of 5,200 children from poorer backgrounds in Sussex are missing out on free school dinners.
Bad food and parents being put off by excess form-filling have been blamed.
The Liberal Democrats, who uncovered the figures, are calling for a Government shake-up of the meal system.
According to official data produced by the Department for Education and Skills (DfES), 2,000 children at State secondary schools in Brighton and Hove are entitled to have a free lunch but 520 - 26 per cent - are not getting the meals.
In primary schools, 730 out of 3,090 children from poorer households - 23.6 per cent - are missing out.
In East Sussex, 880 out of 3,210 secondary school youngsters (27.4 per cent) and 1,160 out of 5,140 primary school children (22.6 per cent) entitled to free dinners are not taking the offer.
In West Sussex, 870 of 2,830 secondary students (30.7 per cent) and 1,040 of 3,680 primary pupils (28.3 per cent) missed out.
Phil Willis, the Lib Dem education spokesman, said: "The whole point of free school meals is to provide the most needy children with a good nutritious meal, yet many would rather do without.
"A free school meal should have high nutritional value and it should be an attractive offer to children."
A DfES spokesman said it was up to schools and councils to make sure children were getting free, good quality meals.
He said: "Governing bodies are responsible for ensuring pupils who qualify for free school meals can have access to a standard two-course meal and a drink and councils should fund schools to enable this."
He admitted the system should be improved.
Under current rules, children in low-income families, on income support or with an annual income of £13,230 or less are entitled to free dinners.
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